Why Takaful is the next best thing to happen in PHL’s insurance industry

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The insurance industry in the Philippines has been steadily evolving, reflecting broader economic trends and changing consumer needs. Etiqa Philippines, one of the country’s leading names in insurance, fully understands this—which is why it has been pulling all the stops to introduce Takaful to the country.

Takaful is a unique and ethical financial model rooted in the principles of mutual cooperation, shared responsibility, and social solidarity. The concept is grounded in Shariah law, emphasizing fairness, transparency, and ethical investment, which sets it apart from conventional insurance models. Derived from the Arabic word “kafala” or “kafalat” meaning to guarantee or take care of one another, Takaful operates as a cooperative system where participants contribute to a pool of funds.

The appeal of Takaful lies not only in its adherence to Islamic principles but also in its inclusive and equitable approach, which resonates with people of different faiths and backgrounds.

In the region, Etiqa has built a strong reputation for providing fast, reliable, and customer-centric services across Southeast Asia. In Malaysia, it has been billed as the largest local insurer, the leading Bancassurance player with 21.1% market share based on Annualized Premium Equivalent, and the No.1 General Takaful player and online General Insurance and Takaful player with a 53.1% market share.

 

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